08-031, Escrow agrmt. for security depositProject No. 2005-9449
DOCUMENT 00680
ESCROW AGREEMENT FOR SECURITY DEPOSITS IN LIEU OF RETENTION
P.C.C.§22300
THIS ESCROW AGREEMENT ("Escrow Agreement") is made and entered into this 18~' day of March, 2008, by and
between the CITY OF CUPERTINO, a Municipal Corporation of the State of California (hereinafter "City"), whose
address is 1030 Torre Avenue, Cupertino, California 95014; Golden State Bridge, Inc. ("Contractor"), whose place of
business is located at 901 Howe Road Martinez, CA 94553; and California Bank of Commerce, a state or federally
chartered bank in the State of California, whose place of business is located at 3595 Mt. Diablo Blvd. Lafayette, CA
94549 ("Escrow Agent").
For the consideration hereinafter set forth, City, Contractor and Escrow Agent agree as follows: its
Pursuant to Section 22300 of Public Contract Code of the State of California, Contractor has the option to
deposit securities with Escrow Agent as a substitute for retention earnings required to be withheld by City
pursuant to Project Number 2005-9449 entered into between City and Contractor for THE MARY AVENUE
BICYCLE FOOTBDRIGE PROJECT in the amount of $7,469,735.00 dated November 21, 2007 (the
"Contract"). Alternatively, on written request of Contractor, City shall make payments of the retention earnings
directly to Escrow Agent. When Contractor deposits the securities as a substitute for Contract earnings, Escrow
Agent shall notify City within ten Days of the deposit. The market value of the securities at the time of
substitution shall be at least equal to the cash amount then required to be withheld as retention under terms of
Contract between City and Contractor. Securities shall be held in name of Golden State Bridge, Inc., and shall
designate Contractor as the beneficial owner.
2. City shall make progress payments to Contractor for those funds which otherwise would be withheld from
progress payments pursuant to Contract provisions, provided that Escrow Agent holds securities in form and
amount specified in paragraph 1 of this Document 00680.
3. When City makes payment(s) of retention earned directly to Escrow Agent, Escrow Agent shall hold said
payment(s) for the benefit of Contractor until the time that the escrow created under this Escrow Agreement is
terminated. Contractor may direct the investment of the payments into securities. All terms and conditions of
this Escrow Agreement and the rights and responsibilities of the parties shall be equally applicable and binding
when City pays Escrow Agent directly.
4. Contractor shall be responsible for paying all fees for the expenses incurred by Escrow Agent in administering
the Escrow Account, and all expenses of City. Such expenses and payment terms shall be determined by City,
Contractor, and Escrow Agent.
5. Interest earned on securities or money market accounts held in escrow and all interest earned on that interest
shall be for sole account of Contractor and shall be subject to withdrawal by Contractor at any time and from
time to time without notice to City.
6. Contractor shall have the right to withdraw all or any part of the principal in the Escrow Account only by
written notice to Escrow Agent accompanied by written authorization from City to Escrow Agent that City
consents to withdrawal of amount sought to be withdrawn by Contractor.
7. City shall have the right to draw upon the securities in event of default by Contractor. Upon seven Days written
notice to Escrow Agent from City of the default, Escrow Agent shall immediately convert the securities to cash
and shall distribute the cash as instructed by City.
8. Upon receipt of written notification from City certifying that the Contract is final and complete, and that
Contractor has complied with all requirements and procedures applicable to the Contract, Escrow Agent shall
release to Contractor all securities and interest on deposit less escrow fees and charges of the Escrow Account.
The escrow shall be closed immediately upon disbursement of all moneys and securities on deposit and
payments of fees and charges.
City of Cupertino
Mary Ave. Bicycle Footbridge 00680 - 1 Escrow Agr. for Security Deposits
Re-Bid in Lieu of Retention
Project No. 2005-9449
9. Escrow Agent shall rely on written notifications from City and Contractor pursuant to paragraphs 5 through 8,
inclusive, of this Document 00680 and City and Contractor shall hold Escrow Agent harmless from Escrow
Agent's release and disbursement of securities and interest as set forth.
10. Names of persons who are authorized to give written notice or to receive written notice on behalf of City and on
behalf of Contractor in connection with the foregoing, and exemplars of their respective are as follows:
On behalf of City:
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Title
w ~ra!'C'
am ~
Signature
fm 300 ~wve. A~.~e
/A~ddr~ess
City~tate/Zip
On behalf of Contractor: Golden State Bridge, Inc.
President
Title
David K. Riccitiello
N e
Sig ure
901 Howe Road
Address
Martinez, CA 94553
City/State/Zip
On behalf of Escrow Agent: California Bank Of Commerce
-;?tee-E~tz-i-v- ~~i~~~r e e-i~ ~n t
Title
N me '
Signature
A ress • , Second Flooor
C a ~ '
At the time the Escrow Account is opened, City and Contractor shall deliver to Escrow Agent a fully executed
counterpart of this Document 00680.
City of Cupertino
Mary Ave. Bicycle Footbridge 00680 - 2 Escrow Agr. For Security Deposits
Re-Bid in Lieu of Retention
Project No. 2005-9449
IN WITNESS WHEREOF, the parties have executed this Escrow Agreement by their proper officers on the
date first set forth above.
City
Contractor
Golden State Bridge, Inc.
Gv
Title --~
c4~ c D ~ t~ru ~r~
N e
ignature
Escrow Agent
President
Title
David K. Riccitiello
Name
'(/ "_' .
Signature
('al;fornia Bank of Commerce
F oi-nt~~pG Vi rc Prcci rlant
Title
Thomas M. P rk
Name
Signature
REVIEWED S TO FO /
arles Kilian, City Attorney
rn~. z 3 . o ~
Date
END OF DOCUMENT
City of Cupertino
Mary Ave. Bicycle Footbridge 00680 - 3 Escrow Agr. for Security Deposits
Re-Bid in Lieu of Retention